bear

views updated

bear2 in Stock Exchange usage, a person who sells shares hoping to buy them back again later at a lower price. The term (applied to the stock thus sold) is recorded from the early 18th century, and was common at the time of the South of Chancery. The dealer in this kind of stock was known as the bearskin jobber, and it seems likely that the original phrase was ‘sell the bearskin’, and that it derived from the proverbial advice don't sell the skin till you have caught the bear.

The associated bull is of later date, and may perhaps have been suggested by the existence of bear in this sense.
bear market a market in which share prices are falling, encouraging selling.

More From encyclopedia.com